If you’re a trader based in the UK or other EU country that has adopted vat as a medium of taxation then you should use online VAT registration for faster and secure vat registering. Most countries have computerised their vat operations so you too should save on effort and time by using all online vat services offered by your own vat department.
In the United Kingdom vat rules specify that you could make an application for vat registration if your taxable sales rise above the vat threshold limit of £70,000 in the past 12 months or if you feel that they will do so over the following 30 days, although you can still register even before your sales touch this figure. However, you are able to at present only complete basic vat online registration by filling and submitting vat form 1 online. This form is generally used by small businesses. If your business is a partnership firm, a group of companies, or intends to conduct business internationally then you could download and print all vat registration forms but will probably be needed to fill the form manually before sending it to the HM Revenue and Customs or hmrc vat department.
If you plan to go in for online vat registration in another eu country that has adopted vat then you’ll need to first study all applicable vat rules before you register your organization online. In case you have trouble in deciphering uk vat or eu vat rules then it is better if you appoint a vat agent or perhaps a customs and excise customs vat agent in the event you intend to conduct your business on an international level. This may allow you to remain safe while following all vat rules in different countries with falling foul of any department.
Once you send your vat online registration form to your hmrc department then you’ll receive a vat questionnaire within 15 days that will need additional details to be submitted including your business address, telephone and fax numbers, banking account numbers, and a lot of other details associated with your small business together with a few purchase and sales invoices.
As soon as your application is approved you will receive your vat number and you will now have to alter your invoicing method to issue vat invoices for all your sales. This vat invoice will need to display your vat no, vat rate, vat amount and also the same will also need to be shown in your vat returns which will have to be submitted to the hmrc vat department at regular intervals.
Currently, in the United Kingdom you will discover 3 types of vat rates applicable for all services and goods. The standard vat rates are 17.5% that’s set to raise to 20% from January 4, 2011 onwards. There is a reduced vat rate of 5% plus a zero vat rate on specific services and goods which will remain the same. There are also certain goods and services which are vat exempt. However, the vat rates are different in each eu country although the basic reasoning behind charging vat tax continues to be same in most vat enabled countries.
If you want to register your organization for vat then going on the internet will help save your time plus enable you to securely complete the required process required for vat registration. You ought to simply log on to the hmrc vat department in case your business is located in the UK or ask your vat agent to do so for you before using online vat registration to get registered as a vat dealer without having problem.